o·ver·head • adv. / ˈōvərˈhed/ above the level of the head; in the sky: a helicopter buzzed overhead.• adj. / ˈōvərˌhed/ 1. situated above the level of the head: the sun was directly overhead overhead power cables.2. (of a driving mechanism) above the object driven: an overhead cam four-cylinder engine.3. (of a cost or expense) incurred in the general upkeep or running of a plant, premises, or business, and not attributable to specific products or items.• n. / ˈōvərˌhed/ 1. overhead cost or expense: research conducted in space requires more overhead.2. a transparency designed for use with an overhead projector.3. short for overhead projector.4. an overhead compartment: fits in most airline overheads.5. Tennis a shot directed sharply downward, hit while the ball is over the head; a smash.

OVERHEAD

A sum total of the administrative or executive costs that relate to the management, conduct, or supervision of a business that are not attributable to any one particular product or department.

Expenses such as rent, taxes, insurance, lighting, heating, and other miscellaneous office expenses all fall under the category of overhead.